Problemin july 2007 newscorp entered into an agreement to, Ask an Expert

Accounting

Problem:

In July 2007, Newscorp entered into an agreement to purchase all of the outstanding shares of Dow Jones and Company for $60 per share. The number of outstanding shares at the time of the announcement was 82 million. The book value of interest-bearing liabilities on the balance sheet of Dow Jones was $1.46 billion.

Required:

Question: Estimate the cost of this acquisition to the shareholders of Newscorp.

Note: Provide support for your underlying principle.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91173676

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